The Securities and Exchange Commission (SEC) has approved nine securities issuances in 2024, totaling N1.228 trillion. This development indicates increased confidence in the market, according to Emomotimi Agama, Director-General of the SEC.
Speaking at the recent post-Capital Markets Committee (CMC) press conference in Lagos, Agama emphasized the Commission’s plans to engage local government authorities to encourage the issuance of municipal bonds. This move aims to drive economic growth and unlock the potential of the capital market.
Agama noted that only one local government has issued a bond, which was used to build a market that still benefits the Nigerian populace. He expressed the Commission’s desire to get more local governments to understand the value of the capital market, particularly with the upcoming direct funding.
The SEC has also approved all offers received from commercial banks amid the ongoing recapitalization exercise. Agama highlighted the capital market’s crucial role in achieving the Central Bank of Nigeria’s recapitalization efforts for banks.
In the fund management space, the Net Asset Value (NAV) of Registered Mutual Funds grew by 111.08% to N3.335 trillion, indicating strong and sustainable growth.
Agama emphasized the capital market’s role in galvanizing economic growth and providing capital for developing key areas of the economy. He noted that discussions are ongoing with various government agencies to harness capital in these areas.
The SEC’s approvals and initiatives demonstrate its commitment to driving market efficiency, transparency, and growth. As the Commission continues to engage local governments and encourage municipal bond issuances, Nigeria’s economic development is poised for a boost.
